INTRODUCTION OF THE STUDY

A commercial bank (or business

bank) is a type of retail bank
that provides services, such as
accepting deposits, giving
business loans and basic
investment products.
Commercial banks are licensed
under and governed by the
Banking Act. They may
undertake universal banking.
Besides commercial banking,
which includes deposit taking,
the provision of cheue services
and lending, the banks may also
carry out any other businesses
activities including !nancial
advisory services, insurance
broking and capital market
services. Banks are however
prohibited from engaging in non"
!nancial activities. (#ection $%
of the Banking Act de!nes the
permissible activities).
Commercial banks and their
representatives do not have to
be separately licensed to carry
out such activities, but must
comply with the business
conduct reuirements prescribed
in the &inancial Advisers Act
(&AA), 'nsurance Act ('A) and
#ecurities and &utures Act (#&A)
accordingly.